Whenever space is unavailable on commercial lines and is available on vessels, vehicles, or aircraft operated by the Department of Defense, civilian passengers and commercial cargo may, in the discretion of the Secretary of Defense, be transported on those vessels, vehicles, or aircraft. Rates for transportation under this section may not be less than those charged by commercial lines for the same kinds of service, except that in the case of transportation provided in response to an emergency, a disaster, or a request for humanitarian assistance, any amount charged for such transportation may not exceed the cost of providing the transportation.

(b)Crediting of Receipts.—

Any amount received under subsection (a) with respect to transportation provided in response to an emergency, a disaster, or a request for humanitarian assistance may be credited to the appropriation, fund, or account used in incurring the obligation for which such amount is received. In all other cases, amounts received under subsection (a) shall be covered into the Treasury as miscellaneous receipts.

(c)Transportation of Allied and Civilian Personnel and Cargo During Contingencies or Disaster Responses.—

When space is available on vessels, vehicles, or aircraft operated by the Department of Defense and the Secretary of Defense determines that operations in the area of a contingency operation or disaster response would be facilitated if allied and civilian personnel and cargo were to be transported using such vessels, vehicles, or aircraft, the Secretary may provide such transportation on a noninterference basis, without charge.

(d)Commercial Insurance.—The Secretary may enter into a contract or other arrangement with one or more commercial providers to make insurance products available to non-Department of Defense shippers using the Defense Transportation System to insure against the loss or damage of the shipper’s cargo. Any such contract or arrangement shall provide that—

(1)

any insurance premium is collected by the commercial provider;

(2)

any claim for loss or damage is processed and paid by the commercial provider;

(3)

the commercial provider agrees to hold the United States harmless and waive any recourse against the United States for amounts paid to an insured as a result of a claim; and

(4)

the contract between the commercial provider and the insured shall contain a provision whereby the insured waives any claim against the United States for loss or damage that is within the scope of enumerated risks covered by the insurance product.

In subsection (a), the words “Federal Maritime Board” are substituted for the words “United States Maritime Commission”, since the functions of the chairman of that commission were transferred to the chairman of the Board by 1950 Reorganization Plan No. 21, effective May 24, 1950, 64 Stat. 1273. The words “the same kinds of service” are substituted for the words “the same class of accommodations”. The words “shipments of” and “between the same ports” are omitted as surplusage. (See also third sentence of revision note for section 4746 of this title, below.)

2013—Subsec. (c). Pub. L. 112–239 substituted “Until January 6, 2016” for “During the 5-year period beginning on the date of the enactment of the Ike Skelton National Defense Authorization Act for Fiscal Year 2011”.

Subsec. (a). Pub. L. 111–383, § 352(a), (b)(1), inserted heading, inserted “, vehicles, or aircraft” after “vessels” in two places in first sentence, and inserted “, except that in the case of transportation provided in response to an emergency, a disaster, or a request for humanitarian assistance, any amount charged for such transportation may not exceed the cost of providing the transportation” before period at end of second sentence.

Subsec. (b). Pub. L. 111–383, § 352(b)(2), inserted heading and substituted “Any amount received under this section with respect to transportation provided in response to an emergency, a disaster, or a request for humanitarian assistance may be credited to the appropriation, fund, or account used in incurring the obligation for which such amount is received. In all other cases, amounts” for “Amounts”.

2004—Pub. L. 108–375, § 1072(a), (b)(2)(A), renumbered section 4745 of this title as this section and substituted “Civilian passengers and commercial cargoes: transportation on Department of Defense vessels” for “Civilian passengers and commercial cargoes: transports in trans-Atlantic service” in section catchline.

Subsec. (a). Pub. L. 108–375, § 1072(b)(2)(B)–(D), struck out “(1) on vessels operated by Army transport agencies, or (2) within bulk space allocations made to the Department of the Army” after “available” and “any transport agency of” before “the Department of Defense” and substituted “Secretary of Defense, be transported” for “Secretary of the Army and the Secretary of Homeland Security, be transported”.